After reorganizing its devices based business (Spice Mobiles), device retail (Hotspot, now called Spice Retail) and Mobile Value Added Services – Spice Digital (previously Cellebrum) and Spice Labs, businesses under one entity, Spice has announced annual and quarterly results for Spice Mobility. Note that the results are not strictly comparable with the previous year, since Spice Televentures was merged with Spice Mobility with effect from 1st January 2010.

The Members of the company have also approved the proposal to rename the company to ” S Mobility Limited”. The change will be effective after the company receives a new certificate of incorporation from the Registrar of Companies.The Company has also incorporated a new subsidiary in the name of “S Mobility (HK) Ltd” with effect from 12th May 2011 in Hong Kong.

The Board of Directors have recommended a dividend of 50% – Rs 1.50 per share, on the enhanced paid up capital of the company for FY11. Also, in an intimation to the BSE, the company has informed that Saurabh Srivastava has been appointed as Additional Director on the Board, while Vijay Brijendra Chopra, Director of the company, has resigned from the board.

Annual Results

For the financial year ended 31st March 2011, Spice Mobility reported total revenues of Rs 2016.6 crore, an increase of 62% from last year’s revenues of Rs 1245.3 crore. The company’s net profit for the period was at Rs 111.7 crore, up 106% from Rs 54.3 crore that it reported last year.

– The company’s mobile devices business reported a total revenue of Rs 1805 crore, an increase of 50%. Segment result or Profit before tax and interest for mobile devices was Rs 36.7 crore, a decline compared to FY10 when it was Rs 77.1 crore.

– Services business segment reported net revenues of Rs 216 crore. Last year’s revenues were at Rs 45.8 crore. The segment results for services was at Rs 51.7 crore, again a major increase from last year’s results which were at Rs 6.4 crore. Note that last year’s results for services only include Q4FY10 since the companies were merged in that quarter.

Quarterly Results

For the quarter ended 31st March 2011, the company’s total income was Rs 525.2 crore, a minor decrease from its income in Q4FY10, when it had reported a total income of Rs 541.2 crore. Its net profits also went up by more than 180% YoY to Rs 19.1 crore from Rs 6.8 crore that it registered during the same quarter, last year.

– The company’s mobile devices business reported a total revenue of Rs 469.1 crore, a decline of 6.5 %. Segment result or Profit before tax and interest, for mobile devices was Rs 2.4 crore, a decline compared to Q4FY10 when it was Rs 8.9 crore.

– Services business segment reported net revenues of Rs 59.2 crore, a growth of 29% compared to Q4FY10 revenues of Rs 45.8 crore. The segment results for services was at Rs 17 crore,  a major increase from last year’s results which were at Rs 6.4 crore.

Highlights

– During the last quarter Q4FY11, the company acquired 80% holding in Spice VAS Kenya, and it has been consolidated from the day of the acquisition.

– In view of internal re-structuring, the company has sold 3,58,18,763 equity shares of face value Rs 10 each, of Spice Distribution to Hindustan Retail Private Limited, which is a subsidiary company of Spice. After the transaction Spice Distribution is now a subsidiary company of Hindustan Retail.

Download: Financials